Colleen Costello

Colleen Bot

A split-screen graphic compares two cannabis software platforms, Cova and Flowhub. The left side features the Cova logo against a yellow background, showcasing its minimalist, interconnected dot design. The right side displays the Flowhub logo with a green cannabis leaf icon on a green background. A bold white "VS" is centered between the two logos, emphasizing the comparison. The vibrant colors and clean design convey a head-to-head evaluation of the two platforms.

Cova vs. Flowhub: Choosing the Best Dispensary Software 

Dispensary software is the backbone of every cannabis retail business. Beyond processing sales, it manages inventory, compliance, payment processing, delivery and more—all critical components of successful dispensary operations. Choosing the right platform is essential to compete in cannabis retail, where customer experience and operational efficiency can make or break your business.

In this article, we compare two popular dispensary software platforms—Cova and Flowhub—highlighting their strengths and weaknesses. We also discuss the benefits of an all-in-one POS system, and introduce Meadow as a dispensary software solution designed to meet the unique needs of dispensary operators.

---

  ###### __More Comparisons: Choosing the Right Dispensary Software__
  For a deeper dive into the dispensary software solutions, explore our related articles:

  - [Treez vs. Blaze: Choosing the Best Dispensary Software](https://getmeadow.com/blog/treez-vs-blaze)
  - [Jane vs. Dutchie: Choosing the Best Dispensary Software](https://getmeadow.com/blog/jane-vs-dutchie)

  These comparisons provide insights into the pros and cons of leading platforms, helping cannabis dispensary operators make informed decisions.

---

![Meadow x Erb & Arbor](//images.ctfassets.net/6kwu1u6s8j23/3bTDS5TLpb48mlDBu9cnT3/e894c1b74b3a98549602ff13d9d16a27/Blog_Images_-_Dispensaries__14_.png)

### Why Your Dispensary Software Matters
Read more: [How to Choose a Cannabis Dispensary POS System
](https://getmeadow.com/blog/why-california-dispensaries-need-a-california-specific-pos-for-compliant)

A dispensary POS system is more than just a tool for sales. It ensures seamless inventory management, simplifies compliance, and enhances the customer experience by supporting features like online menus, loyalty programs, and delivery services. Choosing the wrong platform can lead to inefficiencies, compliance risks, and frustrated staff. In contrast, the right system empowers cannabis business owners and their teams to streamline operations, improve profitability, and scale effectively.

### Key Features to Evaluate in Dispensary Software
When comparing Cova and Flowhub, it’s important to assess their performance in these critical areas:
<sidebar padding="no"> ![Meadow POS in Action ](//images.ctfassets.net/6kwu1u6s8j23/5tqmE7T18MmlY9miZQrmgD/43f07cbb930e2219b440f36904632942/Blog_side_bar_images___6_.png) </sidebar> 

- __Sales__: Does the platform support transactions across all sales channels, including in-store, delivery, pickup, kiosks, lounges and events?
- __E-Commerce__: Can the platform support online menus and transactions?
- __Delivery Tools__: Does it offer integrated delivery tools? 
- __Compliance__: How well does it ensure adherence to state regulations?
- __Inventory__: Are counts accurate? Does it sync in real time across all menus?
- __Payment Processing__: Are there flexible and secure payment options?
- __User Experience__: Is the software easy to use, navigate, and train staff?
- __Scalability__: Can the system grow with your cannabis business?

## Cova Overview
Cova, headquartered in Denver, CO, and Vancouver, BC, is a dispensary software provider serving cannabis businesses across Canada and the U.S. It offers tools for compliance, sales, inventory tracking and API integrations, but its lack of built-in e-commerce and delivery features presents limitations and adds complexity to workflows. 

#### Cova’s Key Features:

- __Compliance Tools__: Automated track and trace compliance reporting.
- __Inventory Management__: Real-time tracking and inventory count importing.
- __Payment Processing__: Supports cashless transactions through Cova Pay.
- __Point-of-Sale__: Supports in-store and order ahead transactions, but no support for delivery. 

#### Cova Strengths:

- __Regulatory Compliance__: Tools to simplify adherence to state regulations.
- __Inventory Management__: Real-time inventory updates. 
- __Third-Party Integrations__: Integrates with systems like Weedmaps, Leafly, and Alpine IQ.
c
#### Cova Weaknesses:
- __No Built-In E-Commerce__: Requires third-party platforms for online menus, adding costs and complexity.
- __No Delivery Tools__: Delivery services rely entirely on external solutions.
- __Issues with Speed & Reliability__: Some users report long lag times and system crashes. 

## Flowhub Overview
Flowhub, founded in 2015, is another dispensary software platform focused on sales, compliance and operations. It's mobile handheld scanner can be used for inventory management and customer check-in and verification. It also offers mobile analytics insights for quick anywhere access. Like Cova, Flowhub also lacks built-in e-commerce, requires more manual processes, and provides only limited delivery tools. 

#### Flowhub’s Key Features:

- __Nug__: Handheld scanning for check-in and inventory management. 
- __Dispensary Analytics__: Basic analytics dashboards available on mobile.
- __Payment Processing__: Cashless transactions with Flowhub Pay.
- __Point-of-Sale__: Supports in-store and order ahead transactions, with limited support for delivery. 

#### Flowhub Strengths:

- __Mobile Scanning__: Hand held mobile scanning for inventory and customer intake. 
- __User Interface__: Clean UI thats easy to learn. 
- __Mobile Analytics__: View analytics dashboards on mobile devices. 

#### Flowhub Weaknesses:

- __No Built-In E-Commerce__: Lacks online menu functionality, relying on third-party solutions.
- __Limited Delivery Tools__: Delivery features are basic and do not include geofencing or automation.
- __Manual Processes__: Reporting, inventory reconciliation, and other tasks can be time-intensive and prone to errors.

## Comparing Cova and Flowhub
##### __E-Commerce__

- __Cova__: Lacks built-in e-commerce capabilities, requiring dispensaries to rely on third-party platforms like Weedmaps or Leafly for online menus. This adds costs and complexity to workflows.
- __Flowhub__: Also does not offer built-in e-commerce tools, requiring integrations for online ordering. Customization and advanced features are limited.

##### __Delivery Management__

- __Cova__: Does not support delivery. Operators must rely entirely on third-party software, which can be costly and inefficient.
- __Flowhub__: Provides limited delivery tools, with no support for dynamic delivery (e.g., Ice Cream Truck model) or advanced features like route optimization and geofencing.

##### __Compliance__

- __Cova__: Known for strong compliance features, including automated reporting and Metrc syncing. However, users report occasional lag times that can disrupt workflows.
- __Flowhub__: Offers basic Metrc integration but requires more manual processes, such as inventory reconciliation, which increases the risk of errors and labor costs.

##### __Inventory Management__
- __Cova__: Real-time inventory tracking is a highlight, but slow system speeds and reliability issues can cause delays during busy periods.
- __Flowhub__: Offers inventory management tools but relies on manual processes for reconciliation, leading to inefficiencies and inaccuracies.

##### __User Experience__
- __Cova__: The platform’s interface is generally user-friendly, but reports of lagging and occasional system crashes frustrate staff during peak hours.
- __Flowhub__: Features a clean and intuitive interface that is easy for staff to learn, but backend tasks, such as reporting, require more manual effort, which slows down operations.

#### The High Cost of Fragmented Systems
When dispensary software lacks essential tools like e-commerce and delivery, operators are required to use third-party solutions to fill the gaps. This fragmented approach can result in:

- __Increased Costs__: Third-party platforms come with subscription fees, transaction charges, and hidden costs.
- __Operational Inefficiencies__: Systems that don’t integrate well lead to delays, errors, and redundant work.
- __Staff Training Challenges__: Employees must learn multiple platforms, creating a steep learning curve.
- __Compromised Customer Experience__: Poorly integrated systems can result in slower service and customer frustration.

![Meadow x Erb & Arbor](//images.ctfassets.net/6kwu1u6s8j23/5V5lpFLtwJth2c7JFF1st3/0471a136db3268c07a27d420e1ba8ddc/Blog_Images_-_Dispensaries__11_.png)

### The Long-Term Benefits of Choosing All-in-One
An all-in-one dispensary POS system simplifies operations and sets cannabis retailers up for long-term success. With everything under one roof, you can reduce costs, improve efficiency, and focus on delivering exceptional customer experiences. In an industry where convenience, reliability, and compliance are paramount, an all-in-one system is the smart choice for dispensary operators looking to thrive in a competitive market.

By prioritizing a solution that integrates essential features into a single platform, dispensaries can avoid the pitfalls of fragmented systems and fully leverage the potential and built-in efficiencies of their dispensary software.

![Meadow x Erb & Arbor](//images.ctfassets.net/6kwu1u6s8j23/7mvjrr3zkatQzrHr9ipGHj/f0530d941e98c40b28fbf06f9ea858b9/Blog_Images_-_Dispensaries__12_.png)

## Final Thoughts: Cova vs Flowhub
Cova and Flowhub both offer tools for sales, compliance, inventory management, and basic dispensary operations, but they each have notable gaps. On G2, operators report that they like Cova's real-time inventory updates, inventory counts, user interface, and support team, but don't like that is can be slow and experience lags, or crash. Cova prioritizes compliance, but it doesn’t include built-in e-commerce or delivery features, requiring dispensaries to rely on third-party systems. 

Flowhub also has some helpful tools like mobile scanning and analytics, but it too lacks e-commerce capabilities and offers only limited delivery options. On G2, operators report that they like the user-friendly interface and its ease of use for budtenders. However, they express frustration with the manual effort required to access data and reports, dissatisfaction with customer support, and dislike of having separate interfaces for the front and back ends.

Both systems fall short when it comes to e-commerce and delivery. These features are increasingly important for dispensaries to stay competitive. Without them, operators often have to use outside platforms, which can lead to extra costs, inefficiencies, and more complicated workflows for staff.

### Why Meadow Stands Out as a Better Alternative
While Cova and Flowhub address basic dispensary needs, their missing features expose the limitations of fragmented systems. Meadow offers a complete, all-in-one dispensary software solution that combines point-of-sale, e-commerce, delivery, inventory management, CRM, marketing, loyalty, compliance, analytics, and payments—all within a single platform. By eliminating the need for multiple disconnected tools, Meadow simplifies operations, reduces inefficiencies, and helps dispensaries save time and money while delivering a seamless experience for both staff and customers.

![Meadow Stats](//images.ctfassets.net/6kwu1u6s8j23/5e8ymgxGjlDLyXmByHJIrX/f4c4da84af96c2939b7fbeff1183b2a2/Years_experience_growing_successful_dispensaries__2_.png)

##### __Meadow’s Standout Features__:
<sidebar padding="no"> ![Meadow x Erb & Arbor, POS on iPad ](//images.ctfassets.net/6kwu1u6s8j23/6wITCmw88hJtYhoQJ5PNnX/94071d2a3e435f97088329002157be12/Untitled__10_x_19_in___3_.png) </sidebar> 

- __Omni-Channel Sales__: Seamlessly manage sales across all channels, including in-store, pickup, delivery, floating sales, self-serve kiosks, consumption lounges, and events. 
- __E-Commerce & Menu Pro__: Customizable online menus, online experiences and seamless checkout
- __Integrated Delivery__: Best-in-class Hub and Spoke and Dynamic Delivery with geofencing, automated dispatch, and real-time ledger compliance.
- __Inventory Management__: Cycle counts for accurate inventory, real-time updates across all your menus, forecasting, and order reminders. 
- __Flexible Payment Processing__: Supports multiple cashless payment providers.
- __Proven Reliability__: 99.99% uptime over the last decade, including 100% uptime on 420.
- __Transparent Pricing__: No hidden fees or extra costs for critical features or integrations.
- __Intuitive Design__: Simple to use, speeding up transactions and reducing training time and operational errors.
- __Exceptional Support__: Fast, knowledgeable assistance from cannabis industry experts ensures easy onboarding and operations.

### See What Dispensary Operators Are Saying
<sidebar padding="no" side="right"> ![Meadow G2 "Users Love Us" badge](//images.ctfassets.net/6kwu1u6s8j23/1FRbLSApVaWAvRG4K8psrl/96445d55324b18292829828552a3b04d/Treez_v__2_.png) </sidebar> 
Don’t just take our word for it—see what dispensary operators across the country are saying about their experiences with Meadow on G2. With over 70 reviews and near-perfect ratings, Meadow consistently earns top marks for its ease of use, reliability, and powerful tools tailored to cannabis retail businesses. Cova and Flowhub trail behind in ratings and user satisfaction, reflecting the challenges many operators face with these systems. Learn directly from those using these platforms every day and see why so many dispensary owners trust Meadow to streamline their dispensary operations and drive success. [Explore Meadow's G2 reviews](https://www.g2.com/products/meadow-meadow/reviews) and discover why Meadow is the trusted choice for dispensaries.

If you’re ready for a trusted all-in-one system, Meadow might be the partner you need.

Take the next step today.

<callout>[__Ready to learn more?__ Talk to our team now or schedule a convenient time to connect.](#upgrade-now)</callout>

A split-screen graphic compares two cannabis software platforms, Cova and Flowhub. The left side features the Cova logo against a yellow background, showcasing its minimalist, interconnected dot design. The right side displays the Flowhub logo with a green cannabis leaf icon on a green background. A bold white "VS" is centered between the two logos, emphasizing the comparison. The vibrant colors and clean design convey a head-to-head evaluation of the two platforms.


Looking for the right dispensary software? Dive into our comparison of Cova and Flowhub to see their strengths, weaknesses, and a proven alternative.

Cova vs. Flowhub: Choosing the Best Dispensary Software

Elevate is a dispensary in Woodland Hills powered by Meadow's cannabis POS software

Elevate Dispensary

Elevate in Woodland Hills takes cannabis luxury to the next level. With a mission focused on creating an elevated customer experience, Elevate is known for its stunning design, exclusive products, and meticulous attention to the customer journey. 

Elegant, modern, and bold, Elevate's design stands out. The team collaborated with High Road Design Studio, famous for dispensary design and branding, to create a one-of-a-kind space.  Bold lines from white quartz and sleek black walls set the tone, with accents of marble veined with blue amazonite — the same marble used in Tiffany & Co's flagship New York store. Lighting provides a luxurious, warm glow that guides the customer experience, encouraging curiosity and exploration. The showroom features private niches with displays that organize merchandise by brand or product category (vapes, edibles, drinks, etc), giving customers an opportunity to explore, learn about, and experience new products. 

<figure>
![Elevate Cannabis Retail Dispensary ](//images.ctfassets.net/6kwu1u6s8j23/1Ig3aLPURJ95DkvP9ftf9R/5d9b711eb93d81ba5809fd860b447e7a/Elevate_Woodland_Hills_3png.png)
</figure>
<callout>Elevate’s stunning design earned them and High Road Studios the 2020 Shop! Award for lighting, presented to the best new designs in retail.</callout>

The attention to detail evident in Elevate's design can be found in every aspect of the customer journey as well. "We treat everyone as family," said Kevin Krivitsky, Owner and Managing Partner of Elevate. "Our customer experience is the most important aspect of our business." Elevate has set out to create a welcoming environment suited for first-timers and pros alike. There's always something for customers to learn - whether it's the newest edibles technology or the very basics of THC and CBD - and Elevate's team is ready to guide and educate at every level. 

<figure>
![Elevate Cannabis Dispensary 4](//images.ctfassets.net/6kwu1u6s8j23/5U3PIoONwRKWa2PxDs5h60/4d5bd5900058baf1751b7193b37a8d9e/Elevate_Cannabis_Dispensary_4.png)
</figure>
> We treat everyone as family. Our customer experience is the most important aspect of our business.

The customer journey is also steered by technology, guiding customers from check-in through purchase. Using Meadow's POS, Elevate creates customer flows in-store and online that are smooth, easy, and graceful. "Meadow’s software is extremely efficient and all the aspects flow together in a way that makes the entire process seamless," said Krivitsky. When everything runs smoothly in the background, the customer experience stays focused on exploring products and uncovering the healing potential of cannabis.

<figure>
![Elevate Cannabis Retail Dispensary_POS and Check-In](//images.ctfassets.net/6kwu1u6s8j23/6Dv7SBUSJ6h1T1OZIJuvFp/8e79cee09dcddf9baeda4e738e119bfe/Elevate_Cannabis_Retail_Dispensary_POS_Check-In.png)
</figure>
> Meadow’s software is extremely efficient and all the aspects flow together in a way that makes the entire process seamless.

Elevate's dedication to an exclusive and luxurious experience is evident in its products and merchandising as well. With an emphasis on safe, tested products from trusted brands, Elevate has curated a selection of products that range from well-known favorites to exclusive offerings. One standout is [Connected Cannabis](https://www.connectedcannabisco.com/ "Connected Cannabis") flower, which Krivitsky considers to be "the highest quality flower on the market, with the utmost consistency and wide range of flavor." 

![Elevate Cannabis Retail Dispensary Menu_Connected Cannabis Co Flower](//images.ctfassets.net/6kwu1u6s8j23/4MCAeNp5izoTY7BPkx6aoy/d7502057c412e9075116c4e885be407e/Elevate_Cannabis_Retail_Dispensary_Connected_Cannabis_Co_Flower__Menu.png)

> Connected Cannabis flower is the highest quality flower on the market, with the utmost consistency and wide range of flavor.

Elevate is also committed to exploring advances in categories like drinks and edibles. Currently, Krivitsky is a fan of gummies that utilize nanotechnology - a process of emulsification that makes cannabinoids so small, they go directly into the bloodstream for faster onset and a more predictable, consistent edible experience.  "Gummies have become a legitimate substitute for sleeping pills. Any gummies that have nanotechnology I would recommend because of the rapid onset and almost immediate effect." All of these products can be found on Elevate's online menu and are available for pick-up and delivery in the LA and Woodland Hills area. [Find location and delivery info here](https://elevate-dispensary.com/about/ "Elevate Location and Delivery Info"). 

![Elevate's Online Menu for Pickup and Delivery Orders](//images.ctfassets.net/6kwu1u6s8j23/6YhV6V2rV4lli9glE7yF50/fa7d444318487d91b14deaa6591703dc/Elevate_Cannabis_Dispensary_Menu_Retail_Delivery.png)

> Gummies have become a legitimate substitute for sleeping pills. Any gummies that have nanotechnology I would recommend because of the rapid onset and almost immediate effect. 

<callout>Elevate is located at 20010 Ventura Blvd, Woodland Hills CA. 91364, open daily from 9 AM - 10 PM. 
For delivery and pick-up orders, visit: [elevate-dispensary.com](https://elevate-dispensary.com)</callout>

Learn more about [cannabis retail](https://getmeadow.com/blog/tags/cannabis-retail "cannabis retail") operations on the Meadow blog.

Elevate is an award-winning cannabis dispensary and delivery, located in Woodland Hills CA

Elevate Cannabis Retail Dispensary OG

Read more about this award-winning dispensary, located on Ventura Blvd in Woodland Hills, LA

Elevate: An Elegant, Modern, and Bold LA Dispensary Experience 

The image features Dennis Peron and Mary Jane Rathbun (aka Brownie Mary) advocating for medical cannabis in California. Centered on the image in large, bold text is the phrase: "NO TAX ON MEDICINE". The overall composition conveys a strong advocacy message about fair treatment for medical cannabis patients.







Patient Equity: No Tax on Medicine

At Meadow, we’re committed to standing up for what matters—fair access to medicine, compassion for patients, and equity in cannabis policy. Yesterday, we took action by delivering the __Patient Equity in Medical Cannabis letter __to Governor Newsom, Senator Wiener, and Assemblymember Haney, advocating for tax relief for medical cannabis patients.

This issue strikes at the heart of what the medical cannabis movement was built on: ensuring patients have safe, affordable access to medicine. Yet today, patients face unnecessary barriers that undermine this promise.

Unlike any other medication prescribed by a doctor, medical cannabis is subject to sales tax unless patients endure the long, expensive, and intrusive process of obtaining a state-issued Medical Marijuana Identification Card (MMIC).

This is not only inequitable—it’s causing California’s once-thriving medical cannabis ecosystem to die.

## The Issue: Tax Inequity is Harming Patients

For any other medication, a doctor’s prescription is enough to exempt it from sales tax. But for cannabis patients, a valid doctor’s recommendation is not sufficient. Instead, they are required to:

- Obtain a Medical Marijuana Identification Card (MMIC) through their local Department of Public Health.
- Pay costly application fees.
- Undergo a time-consuming process that many find burdensome and inaccessible.

The result? Fewer patients are obtaining MMICs every year. In 2023, there were just 3,196 cardholders statewide. This year, that number has dropped to 2,800. California’s current policy not only adds unnecessary barriers for patients, it undermines the original spirit of Prop 215 and Prop 64—protecting medical access and patient rights. 

Patients who forego the MMIC process either end up paying a premium for their medicine with sales tax compounded on top of excise and local taxes, or they turn to the unregulated market. 

## Why This Matters

1. __Patients Deserve Fair Treatment__: A doctor’s recommendation should be treated the same as any other prescription—without requiring an extra layer of bureaucracy and cost. California’s tax policies discriminate against patients who cannot or choose not to obtain an MMIC.

2. __The Medical Market is Dying__: The medical cannabis market in California has shrunk dramatically since adult-use legalization. High taxes and regulatory burdens have pushed patients to the unregulated market, where products are untested and potentially dangerous but much less expensive.

3. __Compassion is Lacking__: Compassion programs, which exempt patients from sales tax, are voluntary and largely non-existent. Most dispensaries simply cannot afford to run these programs due to high operating costs, leaving patients without viable options for tax relief.

4. __Public Health is at Risk__: When taxes make regulated medical cannabis unaffordable, patients turn to the illicit market. This creates serious health risks for vulnerable populations relying on cannabis for conditions like chronic pain, PTSD, insomnia, epilepsy, and cancer.

## The Solution: Treat Cannabis Like Medicine

Our campaign aims to eliminate the MMIC requirement for sales tax exemption and allow patients with a valid doctor’s recommendation to receive fair tax treatment—just like they would for any other medicine. This small, common-sense change would:

- Restore affordability for medical cannabis patients.
- Encourage patients to return to the regulated market.
- Increase public safety by reducing reliance on untested products.
- Uphold the voter-backed protections of Prop 215 and Prop 64.

## Taking Action

At Meadow, we believe this issue is a matter of fairness, compassion, and public health. California started with medical cannabis, and it’s time to honor those roots by ensuring equitable access to medicine for all patients.

We are working alongside California’s leading trade organizations, advocates, and patient groups to push for this critical change in the next legislative session. Together, we’ve drafted a letter to Governor Newsom, Senator Wiener, and Assemblymember Haney calling for action.

But we can’t do it alone. We need the community’s voice to make this change a reality.

## How You Can Help

- [Sign Your Support for our “No Tax on Medicine” Campaign](https://docs.google.com/forms/d/e/1FAIpQLSeDZQbfXyrcJOSSEuq4dO6lU6t3O2YCmleHltg4EZAXRW4SvA/viewform). Every voice matters in showing lawmakers that this change is needed now.
- Share This Post with your community. Spread the word to patients, operators, and advocates who care about access to affordable, regulated medical cannabis.
- Engage with Lawmakers. Reach out to your state representatives to share why this issue is important to you.

## Standing Together for Medical Patients

California’s medical cannabis market was built on compassion. It’s time to return to those roots. By removing unnecessary barriers like the MMIC, we can ensure patients have safe, affordable access to the medicine they rely on—just as Prop 215 intended.

Fairness. Compassion. Access. Let’s make it happen.

<callout> [Stand with us for patient equity—sign our letter to Governor Newsom, Senator Wiener, and Assemblymember Haneyto end the tax on medicine](https://docs.google.com/forms/d/e/1FAIpQLSeDZQbfXyrcJOSSEuq4dO6lU6t3O2YCmleHltg4EZAXRW4SvA/viewform) </callout>

## Full Letter to Governor Newsom, Senator Wiener, and Assemblymember Haney

Dear Governor Newsom, Senator Wiener, and Assemblymember Haney,

On behalf of California's leading cannabis trade, labor, advocacy, veterans, and patient organizations, as well as individual stakeholders throughout the industry, we write to seek your help in addressing California's inconsistent tax policies as it relates to medical cannabis patients.

Our position is that cannabis patients should not be subject to California Sales Tax if they possess a valid doctor's recommendation for the therapeutic use of cannabis. This position is supported by California law. In all other cases, save individual taxation, including untaxed cannabis disbursement to a patient pursuant to a Compassion Program, a doctor’s recommendation is considered sufficient to exempt one from payment of sales taxes. We are hopeful that you will work with us to correct the one remaining inconsistency: State sales taxes imposed on medical cannabis patients who are not part of Compassion Programs.

Prop. 215 still exists. The definition of “Qualified Patient” still includes any Californian who uses cannabis for medical purposes with a valid physician’s recommendation.1 Qualified patients have never been – and still are not required, by design – to register or obtain an identification card in order to qualify for the legal protections of Prop. 215. Indeed, the Adult Use of Marijuana Act (“Prop. 64”), which legalized commercial adult use of cannabis, includes the strongest language possible restricting changes to Prop. 215 – “nothing in this section shall be construed or interpreted to amend, repeal, affect, restrict, or preempt laws pertaining to the Compassionate Use Act of 1996.” However, California’s sales tax policy discriminates sharply between qualified patients with and without identification cards – one pays sales tax and the other does not. This policy has no legal or policy justification that is consistent with the voter-endorsed provisions of Prop. 215 and Prop. 64. Until voters say differently, all qualified patients should be afforded sales tax relief, not just those with the geography or resources to register for a county identification card. Why is California making medical cannabis more expensive for certain patients over others?

According to a February 2, 2022, email from Christina Dempsey, Acting Deputy Director of External
Affairs of the DCC, per the regulations, “either an ID card or a physician's recommendation is
acceptable for compassion care patients.”

Patients enrolled in a compassion program are exempt from sales tax. However, patients who cannot find a compassion program in their area or can’t qualify for such a program must pay State sales tax at the check-out counter, despite the fact that they are medical cannabis patients in possession of the very same document (a valid doctor’s recommendation) which qualifies a medical cannabis patient enrolled in a compassion program for a sales tax exemption.

It should be noted that compassion programs are voluntary programs underwritten by dispensaries or specific programs funded by donations. At a time when most cannabis businesses are facing extinction due to taxation, over-regulation, and a huge illicit market, few are able to offer compassion programs. Proof of this rests in the annual report on Tax Exemptions for Medicinal Cannabis published by the Legislative Analyst’s Office (see https://lao.ca.gov/Publications/Report/4608) which shows a shockingly low number of compassion program tax exemptions.

As demonstrated by the LAO Report referred to above, compassion programs in California are largely non-existent. Given this, the only way to ensure that patients, particularly those who are poor, are treated equally under the Tax and Revenue Code is to allow all patients possessing a valid doctor’s recommendation relief from California’s Sales Tax.

Currently, compassion program patients need only a doctor’s recommendation for tax relief. Patients who are not attached to a compassion program must acquire a state-issued Medical Marijuana Identification Card (MMIC) in addition to their doctor’s recommendations to qualify for tax relief. Excluding a patient from the tax exemption based solely upon registering for a state-issued card is arguably discriminatory, in that it excludes tax relief for those without the ability to pay for the card, regardless of their medical need.

The intention of Prop 64 was not only to expand legal access to adult-use cannabis but also to preserve a well-established medical cannabis market. However, in California today, we have a contracting medical market, dropping from 3,196 MMIC card holders in 2023 to just 2,800 card holders in 2024. Offering sales tax relief to cannabis patients would still require them to pay the excise tax, which when combined with local taxation, brings the total tax burden down to an affordable level, mirroring what patients paid in taxes prior to legalization.

Prior to legalization, there were millions of California patients with doctor’s recommendations, achieving over $2.5B in medical sales in 2017. Post legalization, due to unbearably high taxes, medical cannabis patients have been forced to seek their medicine in the unregulated market, where untested products have already been a proven danger to their health. The State has lost millions in excise taxes as well.

Medicine is not subject to California sales tax (see CDTFA Regulation 1591). In the interests of fairness, equity, and compassion this should apply to medical cannabis patients as well.

Our organizations view exempting all cannabis patients from California Sales Tax as critical in providing an affordable pathway for patients. Medical cannabis patients who are relieved of California Sales Taxes will be disincentivized from illicit market purchases. Their return to the regulated market will increase the excise tax and local tax revenue.

We are hopeful that this change can be included in legislation contemplated by the Governor in the next year’s legislative season. Our representative, David Hua, will be contacting your offices shortly to ascertain whether virtual meetings to discuss the above might be possible. Should you have any questions or concerns David Hua can be reached at: David@getmeadow.com 

Sincerely,

David Hua, CEO, Meadow

Kenny Morrison, President, California Cannabis Manufacturers Association

Lauren Coté, Co-Board Chair, Cannabis Distribution Association

Johnny Delaplane, President, San Francisco Cannabis Retailers Alliance

Jonatan Cvetko, Executive Director, UCBA

David Goldman, President, San Francisco Chapter, Brownie Mary Democratic Club

Kandice Hawes-Lopez, Founder and Executive Director, Orange County NORML

Sarah Armstrong, JD, Outreach Chair Los Angeles and Ventura Counties, Americans for Safe Access

Keith Cich, President, Sunderstorm Inc.

Erin Gore, Founder & CEO, Garden Society

Bobby Vecchio, Co-Founder & CEO, Herb Delivery

Vincent Ning, Co-Founder & CEO, Nabis

Stacey Hronowski, Co-Founder & CEO, Canix

Ted Lichtenberger, Co-Founder & CEO, Flower Co

Steve Albarran, Co-Founder & CEO, Confident Cannabis

Bert Vick, Co-Founder & CEO, Rev Genomics

Nohtal Partansky, Co-Founder & CEO, Sorting Robotics

Steven Jung, COO, PAX

Ryan Miller, Founder, Operation EVAC

Aaron Newsom, COO & Co-Founder, Santa Cruz Veterans Alliance

Eric Goepel, Founder & CEO, Veterans Cannabis Coalition

Hirsh Jain, Founder, Ananda Strategy

Shabnam Malek, Partner, Brand and Branch

David Belsky, CEO, FlowerHire

Amber Morelli, Regional Sales Manager, Pure Vape

Aaron Flynn, CEO & Co-Founder, Gold Seal

Gretchen Miller, CEO & Co-Founder, Kiskanu

Lara L DeCaro, Partner, Leland, Parachini, Steinberg, Matzger & Melnick LLP

Sara Payan, Public Education Officer, Apothecarium

Andrea Greenberg, Founder, Society Jane

Joyce Cenali, COO, Big Rock Partners & Sonoma Hills Farm

Justin Pressfield, Associate Vice President, Weedmaps

Darren Story, CFO, Coastal Sun

Jordan Kuhl, General Manager, Dr. Greenthumbs LAX

Wesley Hein, Head of Global Expansion, Mammoth Heavy Hitters

Andrew DeAngelo, Founder, Andrew DeAngelo Consulting LLC

Ezra Malmuth, CEO, Atlas Edibles

Benjamin Larson, CEO & Co-Founder, Vertosa

Josef Airone, Founder and Director, The Sweetleaf Collective

Whitney Beatty, CEO and Founder, Josephine & Billies and Apothecarry Brands

Tiffany Devitt, Chief Compliance Officer, CannaCraft

Ron Gershoni, CEO & Co-Founder, Jetty Extracts

Judy Yee, CEO & Co-Founder, K-Zen Beverages

Jamie Feaster, CEO and CoFounder, Country

Tuan Le, Business Development, Brite

Nate Landau, COO, Snowtill

Jason Horst, Managing Partner, Horst Legal Counsel

Colleen King, VP Growth, Ciclo

David Kaufmann, Partner, Slap Consulting

Dylan Ferman, CEO, Genius Pipe

Neil Dellacava, Business Development, HERBL

Tegan Thompson, VP Marketing, Petalfast

Dustin Gibbens, Co-Founder/COO, 965 Solutions

Alexa Goldberg, Sales Director, Psychedelics Today

Terryn Buxton, CEO, Oakland Extracts

Elissa Hambrecht, Managing Member, Napa Valley Fume

Leah Cerri, Manager, Select

Frances Villaneuve, CEO, Clarified

Nicole Howell & Ariel Clark,	Partners, Clark Howell LLP

Manndie Tingler, CMO, CannaGram Delivery & Head of Brand Relations, Conception Nurseries, CRO and 
Co-Founder, Khemia Manufacturing

Amanda Reiman, Founder, Personal Plants

Jimmy Levi, VP Business Operations, Chemistry

Morris Kelly, CEO & Founder, SF Roots CA

Omar Figueroa, Founder, Law Offices of Omar Figueroa

Chelsea Sutula, Owner & CEO, Sespe Creek Collective

Michael Kraft,  Compliance Officer, Papa & Barkley

Dana Leigh Cisneros, Esq., Managing Attorney, The Cisneros Firm dba Cannabis Corporate Law Firm

Jesus Sahagun Jr., CEO, Phog Center

Konstantine Kostas, Consultant, Synchronicity Holistic

Randy Cruzado, CEO, The Growcery

Mike Mekk, CEO, Mission Organic

Sean Kali-rai, Founder, Silicon Valley Cannabis Alliance

Hilary O'Brien, Director of Operations, Ivy Hill Cannabis & Green Remedy Collective

Michael Kay, Owner GE Granada Hills, DBA Green Earth Co

Jessica Bray, Director of Inventory and Purchasing, Green Cross of Torrance

Zachary Pitts, CEO, Ganja Goddess

Carly Ekenstam, Director of Operations & Security, Cruz Verde Inc. dba Original Green Cross

Mina Mishrikey, Partner and Head of Investments, Merida Capital Holdings

Cristina Arantes, Operations Manager, IncrediMeds

Anthony Jenkins, CEO & Co-Founder, Next Level

Stephanie Pangelinan, Regional Manager, Foggy Daze

Julie Germenis, General Manager, Eagle Eye

Mary Aigner, General Manager, Love In It Inc dba Sol de Mendocino

Gillian Levy, Co-Founder, Humboldt Apothecary

Dawn Bazurto, CEO/Founder, Lady Gemini

Jakki Hernandez and Dana Cisneros, Board Members, Orange County NORML

Tiffany Wright, COO, La Brea Collective Compliance

Kip Clifton, Board Director, Purextracts

Kevin Watts, CEO, TFA, Inc

Micah Anderson, CEO, Leef Holdings

Zachary Selvin, President, LitCo

Nikita Baranovskiy, Management, Infinity Medical Alliance INC

Brooke Rosel, General Manager, The Sweetleaf Collective

Cristina De Sousa, IncrediMeds

Mario Barajas, GreenLift

Kevin Reed, Owner, The Green Cross

Nancy Do, CEO and Founder, Endo Industries

Aaron Justis, President, Buds & Roses

Kimberly Cargile, CEO, A Therapeutic Alternative

Amir Gresham, Board Member, Social Equity Owners & Workers Association

Colleen Costello, Director of Communications, Meadow

Robert Lee, Founder, Evolved Microdoses

Brendan Kelly, CEO, CEAS

Laura Bell, Director of Manufacturing & Lead Hash Maker, Heritage Hash Co.

Chris Romaine, Owner, Pacific Coast Photo DBA Kandid Kush

Matthew Ingram, President & Co-Founder, Proof

Nicole Daryanani, Sr. Sourcing Manager, Kiva Confections

Anthony Alegrete, COO & Founder, 40 Tons

Shannon DeGrooms, Executive Director, This is Jane Project

Jake Kuczeruk, Director of Sales, New Frontier Data

Tommy Ramos, Board of Directors (MCBA)

Madison Mullis, Publicist, Trailblaze

Pamela Epstein, Chief Legal & Regulatory Officer, Terpene Belt Inc.

Greg Kouvaras, CEO & Founder, Greenline

Dina Nagib, Principal Consultant, Grass Goddess Consulting

Jerred Kiloh, CEO & Founder, The Higher Path

Kerri Accardi, Media Producer, 420MEDIA + Cannected TV

Lauren Mendelsohn, Junior Partner, Law Offices of Omar Figueroa

Brian Holler, Chief Revenue Officer, Beard Bros. Pharms & Media

Vien Trinh, Product Marketing Manager, Flourish Software

Jeff Pehrson, Producer, Planted with Sara Payan

Eric Rosete, Owner, Farcaster Creative

Sean McDermott, owner, The Grove La Mesa

Mitch Kulick, Partner and Co-Founder, Feuerstein Kulick LLp

Jesse Duncan

Brett Yader,  CEO & Co-Founder, Flower Supply

Brian Applegarth, Founder Cannabis Travel Authority 

Steph Sherer, Founder & Executive Director, Americans for Safe Access

Megan Prusynski, Marketing Director, Applegarth Strategies

Chiah Rodriques, co-owner, Operations Director, Arcanna Flowers

James M Beatty, Co-Founder Arcanna Flowers

Jesse Stout, Esq. 

Alex Shamil

JohnPaul Williams II, Founder, J Williams Designs

Omar Figueroa, Founder & Managing Partner, The Law Offices of Omar Figueroa, Inc.

Bridget  May, CEO and Founder

Vincent Patterson Owner Founder The Flowershop llc

Shoshana Patterson The Flower Shop LLC Manger

Victoria Schanzle, President Cherry Valley Farms LLC

Crystin Johnson, Director of Sales, Pure Beauty

Mike Rosati

Maureen Dube-Savage MS RD, Founder of More Canna Care.llc

![Patient Equity Support Logos ](//images.ctfassets.net/6kwu1u6s8j23/hI9f20rJrONmwzBWCEoVB/2a0da38d64138eab5df6a105e41c52ab/Untitled_design_-_2024-12-17T221148.146.png)

<callout> [Add your signature and logo; sign our letter to Governor Newsom to end tax on medical cannabis](https://docs.google.com/forms/d/e/1FAIpQLSeDZQbfXyrcJOSSEuq4dO6lU6t3O2YCmleHltg4EZAXRW4SvA/viewform) </callout>

The image features Dennis Peron and Mary Jane Rathbun (aka Brownie Mary) advocating for medical cannabis in California. Centered on the image in large, bold text is the phrase: "NO TAX ON MEDICINE". The overall composition conveys a strong advocacy message about fair treatment for medical cannabis patients.


Learn how we can protect California’s medical cannabis patients and ensure medicine remains accessible for all.

No Tax on Medicine: Tax Relief for California Medical Cannabis Patients

SparkPlug's sales incentive platform is designed to motivate and reward budtenders for bigger sales and happier employees. And the best part? The incentives are paid for by brands you already carry in your shop! 

Meadow x SparkPlug to Supercharge Budtender Sales 

We are excited to announce the launch of our integration with [SparkPlug](https://sparkplug.app/ "SparkPlug"), a sales incentive platform for dispensaries. With this integration, budtenders can participate in brand-sponsored sales competitions that incentivize and reward bigger sales. 

With Sparkplug, dispensaries can reward top performers, offer commissions, launch sales contests, create team goals, track promotions, push learning content, automate payouts, and measure campaign ROI. By gamifying their sales incentives, dispensaries engage sales teams, retain talent, and drive bigger sales.

One of the biggest advantages of the Meadow x SparkPlug integration is that __brands dispensaries already carry will create and pay for incentives, so dispensaries don't have to.__ This means retailers can subsidize their sales team's pay and increase their team's knowledge of the brands and products they carry, without having to pay a dime.

![Cannabis Brand Incentives ("Sparks") in SparkPlug](//images.ctfassets.net/6kwu1u6s8j23/57dwsGTThKmBM2NxWqfXPr/9114f90b59b4ead266c7595a02c91ea5/Meadow_x_SparkPlug_Integration_Setup___4_.png)

Another advantage of this integration is that it helps retailers retain their best employees. By creating opportunities for employees to increase their take-home pay, get perks, and have fun while doing it, retailers improve engagement, boost morale, and reduce turnover.

With SparkPlug Pro, retailers can create and track their own team incentives, create leaderboards, have store-vs-store competitions, and more for even better team engagement.

<callout>"The moment when the customer is highest intent to purchase and most willing to try a new product is when they're standing right in front of the budtender at the counter. Leverage that opportunity to expose them to a new product and train your employees to sell them on products that might be a fit for the use case that they're describing." 
 - Andrew Duffy, Co-Founder & CEO of SparkPlug in a recent Meadow webinar </callout>

## Benefits to Cannabis Retailers

- __More invested and engaged sales team:__ Customizable incentive programs will help create a culture of competition and camaraderie among team members, motivating them to achieve their best performance.

- __Bigger sales:__ By setting targets and incentivizing your team to achieve them, you can boost sales and increase revenue.

- __Higher team income via incentives:__ Your sales team can earn pay boosts and perks coming from vendors and/or the dispensary, increasing their income and driving their performance.

- __Full control of your data:__ You will retain full control of all your data. It is safe, secure, and will never be sold. 

## Ideas for Sales Team Contests & Incentives

- **Hourly Contest:** Hourly contests are designed to motivate individual employees by incentivizing them to beat their own personal best. At the top of the hour, the sales clock resets, and retail employees can earn prizes based on who sells the most during the hour, allowing multiple employees to win a day. Employee sales contests are a great way to encourage competition between employees and boost motivation.
- **Brand Based Contest:** Brand-based contests are created to motivate sales associates by increasing awareness of the brand's products. Brands sponsor incentives at stores that sell their products. Eligible employees are then rewarded with cash prizes or other incentives. This encourages employees to learn more about the brands they are selling,  engage customers with the brand, and become more invested in sales.
- **Team-Based Goals:** To encourage teamwork and increase engagement, managers can create a team-based goal for a team sales competition. This incentive game is designed to motivate employees to boost sales and work as a team. You can determine the amount of sales that need to be reached and then split the employees into teams accordingly. Have them work together to build sales. The team with the highest cumulative sales at the end of the time period wins.

![Supercharge Sales Teams](//downloads.ctfassets.net/6kwu1u6s8j23/7cLrt3N67yE4YWACo6cooY/9a9c1d6e73608f7c0ec453d54cebb6db/20230223-Colwell-Meadow-LA-Green-Earth-Collective-A9C6589.jpg)

## Getting Started
We are thrilled to offer this integration to our dispensary clients, as it provides a powerful toolset for incentivizing sales teams and driving bigger sales. **To celebrate the launch of our integration, SparkPlug is offering all Meadow clients one year free of SparkPlug Pro (over $2,000 value).**

[Meadow Clients can sign up for 1 year of SparkPlug Pro for FREE here.](https://sparkplug.app/refer/meadow "Meadow x SparkPlug Sign Up ")

To try out the SparkPlug integration, start with the [Meadow x SparkPlug Integration Guide](https://5072152.fs1.hubspotusercontent-na1.net/hubfs/5072152/Meadow%20x%20SparkPlug%20Integration%20Guide.pdf).

Learn more about Meadow's comprehensive [cannabis retail system](https://getmeadow.com/blog/tags/cannabis-retail "cannabis retail system")

Meadow x SparkPlug Integration to Supercharge Budtender Sales 

Learn more about how to reward budtenders and supercharge your sales teams using the new SparkPlug integration with Meadow.

Posts by Colleen Costello

Cova vs. Flowhub: Choosing the Best Dispensary Software

Elevate: An Elegant, Modern, and Bold LA Dispensary Experience

No Tax on Medicine: Tax Relief for California Medical Cannabis Patients

Meadow & SparkPlug Join Forces to Supercharge Budtender Sales

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